The results are in: advisors who concentrate on niche client groups do more business than the generalists.
This comes from a study conducted this year involving nearly one thousand financial specialists. Niche-focused advisors draw in more money and enjoy better results, largely because their expertise grows as they become more intimately acquainted with the niche group’s demands.
There are two strategies available for advisories that want to exploit niche marketing. The approach your firm takes will depend on factors unique to your business. Overall, both strategies are proven to work.
First, you can stake everything on a single niche – go all-in, as they say at the poker tables (not that we’re gamblers). Branding is tailored to identify you as a specialist house serving a single category of clients. You might aim at doctors, university professors, small-business owners – any promising group. You may lose business from groups outside the niche, but by offering the benefits of specialization, client inflow from the chosen niche should outweigh any losses.
Skillful advertising and content creation are they keys to attracting niche clientele. E-content can be tailored to reveal your understanding of the niche group’s needs, identifying you as specialists in meeting their unique demands.
The second strategy involves project-based niche marketing. This hedges your hand against the risk of concentrating on one group. First, identify your targets. You may find them among clients already in hand. Perhaps you’re popular with young executives at financial firms – the elusive but promising millenials. Maybe you have contacts among plastic surgeons – there’s another niche.
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Instead of rebranding your entire business for one target, you can run a series of campaigns, each aimed at the promising niches. There’s no reason not to conduct these efforts in tandem – just assign a different team to each niche.
For more information, please read:
Two Proven Niche Strategies – Which Is Right for You? | Wealth Management